How To Insure Yourself Against Rising Gasoline Prices

How To Insure Yourself Against Rising Gasoline Prices
How To Insure Yourself Against Rising Gasoline Prices

Video: How To Insure Yourself Against Rising Gasoline Prices

Video: How To Insure Yourself Against Rising Gasoline Prices
Video: From The Field: Rising Gasoline Prices 2024, December
Anonim

Are you worried about how much gasoline will cost in a month, if something happens again somewhere in the world, and oil prices go up, which means that production and consumption of gasoline will become more expensive? Find out for some reason unpopular in our country, but quite an effective way to insure yourself against a strong increase in oil and gasoline prices, especially if you often have to drive a gasoline car or fly in an airplane.

How to insure yourself against rising prices for gasoline and other petroleum products
How to insure yourself against rising prices for gasoline and other petroleum products

In order to understand what the price of gasoline depends on, you should remember what it is made from. And its production begins with the processing of oil. This means that in order for you to buy gasoline at a gas station, someone should purchase oil extracted from a well or reservoir, process it and deliver it to the gas station. Therefore, if oil prices rise, the price of gasoline also rises. But what if you often have to use gasoline for your work and the price of oil rises?

The most obvious way is to get oil. But after all, we don't have an oil rig somewhere in our country house outside the city, with the help of which you can sell expensive oil in order to compensate for most of the rise in gasoline prices, what should we do in this case? There is a way out - to acquire a stake in an oil producing company. And then, in the event of an increase in oil prices, the company will begin to receive large profits or even super profits. Part of this profit (usually 50%) is always directed to dividends, therefore, in the event of an increase in oil and gasoline prices, part of the increase in gasoline prices is offset by an increase in dividends from an increase in oil prices. Having acquired a share in a company once, you do not need to do anything else to receive dividends.

How can you acquire a stake in an oil company? Today in Russia it is easier than ever to do it! To do this, you just need to buy shares of any oil producing company in the world, in particular a Russian company (Rosneft, LUKOIL, Gazprom or Gazprom Neft, Tatneft, Surgutneftegaz, etc.). The more shares you have, the more dividends you will receive after distributing profits to shareholders. In this case, shares can be purchased for only a few hundred or thousands of rubles (depending on the company). So how do you buy shares in oil companies? To do this, you need to take 3 simple steps:

  1. Open a brokerage account;
  2. Make money on it;
  3. Buy shares of the company of interest.

After that, in the event of an increase in world oil prices, these companies will begin to receive increased profits, which means they will be able to pay more dividends and compensate for your expenses on increased gasoline prices. In the event of a decrease in oil prices, the production of gasoline will become cheaper and, in order to maintain a competitive position, filling stations will have to reduce gasoline prices. Thus, you will win in any scenario on the world oil market!

After opening an account, simply start buying oil stocks on a regular basis, and within a few months you will no longer be bothered by the price of gasoline.

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